In a Typical Tort Case

question 17

Multiple Choice

In a typical tort case,

• A)the defendant is not allowed to appeal the verdict if he or she loses.
• B)the plaintiff is not allowed to appeal the verdict if he or she loses.
• C)the government immediately appeals the verdict if it loses.
• D)one individual charges that he or she has been injured by another's negligence or malfeasance.

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Definitions:

External Costs

Costs that are not borne by the parties involved in an economic transaction but by other individuals or society at large.

Auto Pollution

Auto pollution refers to the emissions generated by motor vehicles that contribute to air pollution.

Equilibrium Price

Equilibrium price is the price at which the quantity of a good demanded equals the quantity supplied, thus no surplus or shortage exists.

Adverse Selection

A situation in which sellers have information that buyers do not (or vice versa) leading to transactions that favor the party with more information.